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LESSON 21:
REPOSITIONING OF BRAND
BRAND MANAGEMENT
frame of reference; 2) securing the customer’s “permission” for Establishing the frame of reference does not automatically
the positioning; and 3) making sure that the brand delivers on translate into successful brand repositioning. To reach that end
its promise. point, marketers must rst ensure they have the customer’s
“permission” to claim the new ground to which the brand
Be Relevant to the Customer’s Frame of Reference
aspires. Because that permission amounts to a reasonable and
When repositioning a brand, it’s essential for marketers to
logical extension of the brand in the eyes of the customer, it
capture not just the emotional and physical needs of the
requires building a “bridge” that can carry customers from
customer, but the dynamics of the situation in which those
where they perceive your brand to be today to where you want
needs occur. We refer to this as the customer’s “frame of
to take it in the future. Thus, for the Celestial Seasonings brand,
reference.” For example, while Rasna and Tang are thirst-
the bridge leverages customers’ perceptions of the brand as
quenching drinks, consumers tend to think of them in the
“organic, natural, and healthy” to allow the brand to extend
broader context of sports, exercise, and physical activity. from its core product offering of teas into herb-based and
Importantly, the frame of reference sets the parameters for “alternative” vitamin and mineral supplements. Similarly,
customers’ consideration set – the brands they will choose Marriott uses customers’ perceptions of the brand as a leader in
from. hotels and “living-care” to extend the brand into assisted living
Indeed, most customers have a very specic denition of what the for senior citizens.
brand is and what it can be relative to their frame of reference. Table 2 Brand Equity Elements: Luxury Automobile
Repositioning a brand too far from this frame of reference Brand Example
creates customer confusion that makes a positioning unsuccess- Intangibles
ful.
Being fully aware of the frame of reference for a brand can help
ensure that its repositioning strategy will resonate with custom-
ers. But the frame of reference is usually a combination of both
customers’ attitudes and the situations in which the brand is
used. As a result, we typically nd the most powerful customer
insights and segmentation come from looking at a combination
of these factors.
• In some categories, customers’ broader attitudes are the
dominant factor. How customers think about pet-related
brands, for example, can be seen in the context of how
they treat their own pets – whether they view them as
family members, best friends/companions, or in a less
personal way. If customers view pets as family members,
the optimal message for the brand will appeal to such
human qualities as nurturing and pampering. This “family
member” orientation or frame of reference may help Emotional brand benets can provide the most powerful source
of brand permission. If a brand is currently meeting the
support a brand extension to a full range of pet services,
customer’s emotional needs, then extension of that brand into
such as grooming and accessories.
an allied product/service arena becomes much more plausible
• Other customer needs are not as consistent, but better and acceptable – the extension is likely to be granted customer
understood within the context of specic situations or sub- permission. For example, the strong emotional benets associ-
categories. In the eld of airline travel, for example, the ated with the Hallmark brand in greeting cards allowed for the
customer’s frame of reference may be a function of the extension of the brand into wrapping papers, ornaments, and
type of trip they are taking. The customer who is used to other products with emotional ties to celebration and com-
traveling within the U.S. in cramped coach-class conditions, memoration.
for example, will have a much different set of needs and
A strong brand identity can also help marketers secure the
expectations than the traveler who is used to ying to
desired permission from consumers. Because Victoria’s Secret
international destinations with all the comforts of rst-class
owns or is associated with the notion of intimate moments,
service.
for example, it would be easier for that brand to get permission
• As a result, in most instances the frame of reference is built to introduce a new line of lingerie or perfume with a sensual
upon a combination of both of the above attitudinal and connotation than it would be to launch a line of jeans or
situational forces. For example, while consumers may handbags.
generally have a health-conscious attitude about the foods
In repositioning, marketers must embrace the idea that they are
they eat, on certain “special” occasions they may allow
brand “stewards,” while customers dene their relationship with
themselves to become more indulgent, creating what we
the brand and determine the basis for the relationship. A
call a “need state.”
steward must spend more time deeply understanding what
“bridges” to growth and new positionings exist. representatives having an understanding of an individual cus-
tomer’s needs. This important service signal led to the broader
Make Sure What You Say Is What You Do
customer perception of the brand as caring – an important
After the brand position has been developed, marketers must
personality signal for the brand to deliver on its positioning.
ensure the brand performance is able to live up to its new
Additionally, the marketer learned that having technicians follow
promise. While “do what you say” has always been Rule No. 1
through with customers to issue resolution was a critical service
for building brand equity, following that rule can be a signicant
signal that led to the broader personality signal of the brand
challenge for many companies. This is particularly true in service
being professional – another key for the brand to live up to its
industries, given the need for tremendous organizational
positioning. With these insights, the marketer could allocate
change, and industries that require long lead times for organiza-
resources accordingly, ensuring that the more important signals
tional or infrastructure changes. Such changes occur at the same
were being appropriately supported.
time customers are being presented with the new brand
position. Three important steps can help win customer • Develop necessary product/service programs to
acceptance: ensure consistent performance on these signals to the
customer. For example, if the brand positioning is built
• Identify the pathway of performance “signals” that
around superior customer satisfaction, but frontline sales
will convince customers of the new brand positioning
people are measured on revenue rather than satisfaction, it
so that what you say is in fact what you are able to do.
is unlikely that consistent performance will be achieved. So,
We have found that you can quantify which brand elements
if airline gate agents are the rst and most important contact
are more important for creating the desired impact on the
point for customers, they should be empowered to solve
customer’s overall brand image and how these elements
customers’ issues instead of redirecting them to customer
impact each other in the process (see Table 41.1).
service personnel. In the technology brand example, given
Table 41.1 Quantitatively Linking Brand Performance the importance of the customer service representatives and
“Signals” to Desired Customer “Take-Aways”
service technicians, there should be a greater emphasis on
Overall positioning essence the quality of the service delivered rather than on the
number of customers that can be serviced over a given
Technology brand time period.
• Make sure approaches are in place to track and assess
pathway example “Humanizing technology
your performance against these customer signals prior
for everyday people” to the formal launching of the new positioning.
Applying rigorous quality assurance procedures to key
elements of the new brand experience will often
ensure that customers are not disappointed, or fail to
have their expectations met. Current data-collection
methods allow for rapid response and can be
leveraged to determine whether the launch programs
Personality signals are having their desired effect on brand perceptions.
Due to the complexities of brand positioning, many
marketers are correctly choosing to move to an
“interim positioning.” This interim positioning is
designed to establish brand credibility and perfor-
Service signals mance on the road to fully achieving the longer-term
aspirational positioning. Such a positioning focuses
on those aspects of the brand on which the organiza-
Product Signals tion is currently able to deliver. Interim positioning is
0.40 = pathway coefficient
often essential when a brand stakes out new territory
considered “up market,” addresses an important or
= Optimum brand signal pathway long-standing deciency, or is attempting to redene its
competitive set. As the brand evolves (based on
Marketers should not attempt to cover the waterfront here, but customers’ changing perceptions), additional components of
instead focus on the relevant interrelated “hot buttons” that the new platform can be put into place and condently commu-
will clearly convey the message. For example, in the case of a nicated to consumers. Target Stores successfully employed an
technology brand positioning itself as “humanizing technology interim positioning as it evolved the brand up market from a
for everyday people,” the strongest set of pathways to the position as a discount retailer of national brands to a contem-
positioning came from product signals such as customized porary “urban chic” retail brand providing good value. The
hardware and specic application platforms (e.g., games, house- interim positioning emphasized value without sacricing style
hold management) rather than from equipment with the latest and involved specic merchandising efforts such as stylized color
features and innovative design. The pathway modeling also
© Copy Right: Rai University
116 11.362
blocking and associations with name designers (e.g., Frank It is not always that these nine categories are mutually exclusive.
BRAND MANAGEMENT
Gehry). As the brand evolved to its current positioning, it Often one reason leads to the other and a brand is repositioned
further emphasized the “designer” theme in its advertising, sometimes for a multiplicity of reasons. Illustrations of the
often having models wearing various housewares as high above types of repositioning are listed below.
fashion. Note: Some of these repositioning statements have been
By focusing on achievable instead of aspirational brand changed again. That need not make them less relevant as
positioning, companies can help ensure meaningful market illustrations.
share results while enhancing their brand image. This requires,
Increasinc Relevance to Consumer
however, that the new brand position ts comfortably within the
A brand that has been existent in the market for, sometime may
customer’s frame of reference, and that it not attempt to
lose touch with consumers because the consumer’s needs may
overreach. Marketers must also secure the customer’s permis-
have changed. Thus, it is possible that a brand is fundamentally
sion to extend the brand by building a bridge of relevant benets
sound and yet is not in sympathy with the consumer’s current
to carry customers from the current to the intended brand
concerns. Such a situation calls for a change in positioning. The
position. Implementing the performance delivery systems to
following examples illustrate this concept.
ensure the brand is able to live up to its new promise is the nal
critical step in building and executing a successful brand Lipton Yellow Label Tea
positioning program.
Positioning – A Primer
Positioning is the art of creating a distinct image for a product
in the minds of the customers. A simple example would
suffice. The first thing that comes to one’s mind when some-
body says ‘ATM’ is Automated Teller Machine. This is the
product. But the customer’s question would be “What does
ATM mean to me?” The answer is Any-Time-Money. That
makes sense to him or her because it means instant cash. The
concept neatly rolls up the benefit of ready cash and puts it in
Lipton Yellow Label Tea was initially positioned as a delicious,
the mind of the customer. Thus Automated Teller Machine
sophisticated and premium tea for the global citizen. The
(ATM) is the ‘product’, Any-Time-Money (ATM) is the
advertisements also echoed this theme. For instance, all the
‘positioning.’
props and participants in the advertisements were foreign. It is
Repositioning is changing the positioning of a brand. A possible that this approach did not find favour with the
particular positioning statement may not work with a brand. customers. The repositioning specifically addressed the Indian
For instance, Dettol toilet soap was positioned as a beauty soap consumer through an Indian idiom.
initially. This was not in line with its core values. Dettol, the
parent brand (anti-septic liquid) was known for its ability to heal
cuts . The extension’s “beauty” positioning was not in tune Exotic & Foreign Exotic & Indian
with the parent’s “germ-kill” positioning. The soap, therefore,
had to be repositioned as a “germ-kill” soap (“bath for grimy Visa Card
occassions”) and it fared extremely, well after repositioning. Visa Card had to change its positioning to make itself relevant
Here, the soap had to be repositioned for image mismatch. to customers under changed circumstances. Initially it asked the
There are several other reasons for repositioning. Often falling customer to “pay the way the world does” (1981). This is to
or stagnant sales is responsible for repositioning exercises. give its card an aura of global reach. But as more and more cards
After examining the repositioning of several brands from the were launched on the same theme, to put itself in a different
Indian market, the following 9 types of repositioning have league, it positioned itself as the “world’s most preferred card”
been identified. These are: (1993). To highlight the services it provided, it shifted to the
• Increasing relevance to the consumer platform of “Visa Power” (1995). This focus on explaining the
• Increasing occasions for use range of services available with the card continues till date
(“Visa Power, go get it”).
• Search for a viable position
• Making the brand serious Pay of Way World’s Most VISA
The World Does Preferred Card Power
• Falling sales (1981) ( 1993) (1995)
• Bringing in new customers
Cadbury’s Bournvita
• Making the brand contemporary Bournvita is a case of how a brand changes its positioning in
• Differentiate from other brands keeping with the changing needs of customers. Initially, the
• Changed market conditions. emphasis was on its good taste (“taste additive to milk”). Then
as the customers became more demanding, the pitch was
modified to include the nutritive aspect as well (“extra nutrition,
give sharpness of mind (“nutrition, mental stimulation). Dettol-the antiseptic liquid is basically used to prevent cuts and
gashes from developing sepsis. To increase the occasions for its
use, it shows several other avenues. These are i) for the shaving
Taste Additive to Milk mug ii) for washing babies’ clothes iii) for use during illness for
washing and swabbing. These uses are listed on the Dettol
bottle itself.
Extra Nutrition, Extra Taste Odomos
Odomos cream was one of the first mosquito repellants in the
market. It was essentially pitched as an indoor mosquito
Nutrition, Mental Stimulation remedy. For sometime it was very popular. Later, as mosquito
mats entered the market, creams became less popular as they
were seen as sticky. One way of combating the mats was to fight
them outdoors. Since outdoor locations normally have no
power supply, cream was positioned for “indoor as well as
outdoor” use. This broadened the competitive space besides
increasing the occasions for use.
Vicks Vaporub
Vicks Vaporub was initially and child’s cold rub. Later in an
attempt to increase uses as well as users, it was positioned as an
“adult cold rub for anytime during the
Increasinc Occasions for Use
Sometimes the positioning chosen becomes too narrow. This Child’s Cold Rub Adult Cold Rub
at Night anytime During Day
might lead to a situation of having too few customers. Such a
small franchise may make the brand commercially unviable. One
of the methods of increasing use is by increasing the usage rate.
This is done by increasing the number of occasions available for
use.
Cadbury’s Drinking Chocolate
Cadbury’s Drinking Chocolate initially called itself “good night
cap” signifying the time of consumption. The user base
possibly proved to be small. In an effort to increase the
numbers, it positioned itself as a drink for the “happiest time Search for a Viable Position
of the day.” This was an effort to get the brand consumed Complan
during any time of the day thereby increasing the occasions for Complan had at various times positioned itself as “food for
use. the convalescing”, “against Horlicks,” “for the family” (fussy
child, busy executive, tired housewife). This is possibly because
Good Night Cap Happiest Time of
the Day ( Anytime)
it was trying to get a viable positioning statement. Finally, it
(Night)
seems to have found one in the positioning line “for growing
children2.”
Monaco
Monaco biscuits were initially positioned as the “perfect salted” Food for Sick
biscuits. To increase the occasions for use, it pitched itself as
“Excellent plain, terrific with toppings.” What was essentially a Against Horlicks
plain, salted biscuit turned itself into a biscuit that can be
consumed as it is or with toppings, thereby increasing its For Family
occasions for use.
For Growing Children
Milkfood’s Yoghurt
was initially positioned as “anytime snack.” This did not seem
to have worked. So the pitch was changed to “It is not just
curd.” This could be hinting at both the fun value and the
BRAND MANAGEMENT
not work. Positioning it as “mishti-doi” (sweet curd) for the as the new generation to consume Red Label ( “jiyo-mere-Iaal” -
East and North Eastern parts of India would have possibly “long live my son”, there is a pun on the word ‘laal’ which
given it a better opportunity for success. means son as well as red ). Several attempts of repositioning
had to be made because of falling sales.
Anytime Snack It is not just curd
Fallinc Sales
Ambassador
The Ambassador was positioned as the “rugged road master.”
This positioning was in line with product perceptions because
Ambassador is seen as a tougher vehicle than Maruti. However,
Maruti proved to be sleeker, more fuel efficient and initially even
cheaper. Thus the positioning was changed to “a member of
No More Tears Shampoo
the family.” In other words, falling sales forced Ambassador to
Johnson & Johnson launched a baby shampoo by name “No
move from a rational pitch to an emotional pitch. (Even this
more tears.” Sales were not encouraging. This forced J&J to
positioning was later changed by Ambassador. But none of the
look out for new users. If the shampoo can be used for babies,
positioning changes helped it because the product itself was
it was reasoned, it will be extrasoft. So this extra-soft shampoo
seen as dated.)
will be good for users who use shampoo often. Thus a baby
Red Label shampoo was stretched to include “heavy users.”
BrookeBond’s Red Label is a typical example of how falling
sales can precipitate repositioning. Red Label is an age-old brand Babies Those who wash regularly
with a franchise of its own. How ever, over a period of time it
might have lost some of its relevance. Its traditional position-
ing was that Red Label was one of its kind
(“piyo-to-jano”-drink it and you will know the difference”).
When this was seen as dated, a new positioning statement
involving patriotism was configured (“Desh-ka-pyaala”—
India’s tea”). This did not bring the expected volumes. Then
the strength pitch was tried (“100% strong”). Finally, the current
In baby oils also, J&J stretched what was essentially a baby “Neighbour’s Envy, Owner’s Pride.” In the mid-nineties,
product to a new user, namely the mother. The argument was however, there was tough competition unleashed by MNC
that what was good for babies was good for mothers too. brands like Sony, Samsung and LG. Thus the positioning had
Essentially, since the oil is soft on skin being a baby oil, it to be made contemporary. It was then changed to “World’s
attempted to attract mothers also as users. Envy, India’s Pride” to signal that Onida was as good as the
foreign brands.
Cinthol
Cinthol repositioned itself several times. In one of its initial Differentiatino Brands from Competitors
attempts at repositioning, it moved from being a “deodorant Mint – 0
soap” to “soap for macho men.” The appeal of a deodorant Mint-O’s position in 1990 was “adult candy.” This was to
soap was limited. Thus due to market changes as well as for enthuse grown-ups to consume peppermint. This may not
attracting new customers the positioning was modified to have helped the brand to stand out. In 1995, a position that
include “male” connotation without sacrificing the deodorant directly aimed at competition (Nestle’s Polo) was configured.
platform. Polo positioned itself as “the mint with the Hole.” Mint-O
positioned itself as “All Mint, NoHole.” One of the advertise-
Deodorant Soap Soap for Macho Men ments even argued, “If your head doesn’t have a hole, why
should your mint.” Positioning the brand head-on with Polo
gave it a distinct focus.
Freshness Adult Candy All Mint, No Hole
Notes: